Smart cost Daimler to lose 3.9 billion over 4 years

Posted: Jun 12, 2007
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Smart cost Daimler to lose 3.9 billion over 4 years

Apparently the Smart car wasn’t so smart for DaimlerChrysler. According to German newspaper Handelsblatt, the Smart brand lost nearly 3.9 billion euros ($5.21 billion) between 2003 and 2006. The loss had an affect on Mercedes Group, which would have recorded a profit of more than 4 billion euros ($5.34) last year. Instead, the Mercedes group posted 2.4 billion ($3.20 billion) euros in operating profits.

Since DaimlerChrysler has not provided profit or loss information within the Mercedes Group, the German newspaper cited documents it obtained from the liquidated Smart GmbH in Böblingen, Germany, as the source.

While a DaimlerChrysler spokesman did not comment on the report, he did say that the Smart brand will profitable for the first time this year.

 

Source: Automotive News (Subscription Required)

[tags]Cars, Car, Auto, Automobile, Vehicles, Technology, Auto News, News, Smart, Mercedes, DaimlerChrylser[/tags]


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  • Stan

    It’s gonna take a while for Daimler to recover from the huge losses. (Most likely to not recover)

    You’d think that these cars would sell due to the prices of gas skyrocketing, but these type of cars will NOT sell well.

    Some opinions.

    Pros:

    - Saves a lot of Gas
    - Awesome weekend car for local driving

    Cons:

    - No room for family.
    - Unsafe. (I don’t care if it has a high crash test rating. I’d rather drive a Prius than one of these.)

    I don’t know what the execs of Daimler are thinking. They need to put money into a project that is more sensible. Now is not a time to be screwing around with Smart Cars.

  • Stan

    These will sell a lot better in Europe than in the States.

  • bobmarley

    ya, the US isnt ready for this car. Maybe in about 3 years